Steps to Buying Your First Home Renting Vs. Buying Your First Mortgage Closing Process Buying a Home Checklist

A home is the largest purchase most people will make in their lifetime. Buying a home can be a daunting task. But it doesn't have to be. Here you’ll find resources from the Hawai'i Association of REALTORS ® that will help you with your home buying process.

> Congress Extends Tax Credit


Congress has passed new legislation that:
  • Extends the First-Time Home Buyer Tax Credit of up to $8,000 to first-time home buyers until April 30, 2010.
  • Expands the credit to grant up to $6,500 credit to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010. 

> Tax Credit Can Be Claimed This Year

The tax credit is refundable, which means you’ll get back the full amount even if your total federal tax liability is less. The tax credit is also easy to use: You just claim it on your 2009 tax return.

The National Association of REALTORS ® created a helpful website that contains more information about the first-time home buyer tax credit. The FAQs section includes detailed examples of how the tax credit works.

For more information about the tax credit click here

> Homeowners Get Many Tax Benefits

The federal tax code contains other advantages for homeowners as well. Mortgage interest, mortgage insurance premiums and property taxes may all be deductible on your income tax return, subject to certain restrictions and limitations in the tax code.

If you’re thinking of buying a home this year, you should consider how the tax credit could affect you. Before you make a decision, it’s a good idea to research how much you can afford to spend to buy a home and check your credit to avoid any "surprises."

For more information on this tax credit, contact a REALTOR ®.